A

STUDY ON

“WAREHOUSE MANAGEMENT SYSTEM (WMS) & REVERSE LOGISTICS”

AT

ATLAS COPCO INDIA LIMITED

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Objectives Of The Study

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• To analyze how The Atlas Copco Warehouse Management Systems by utilizing its

resources.

• The primary objective of Warehouse Management System is to assist in decision-

making

• To know the Total Process flow of Warehouse Management System

• To know the Total Process flow of Inward, Packaging and Dispatching of goods

• To know the Total Process flow of Customer return of goods

• To Find out Pros & cons of WMS software

• To find the Drawbacks and reduce the steps in WMS software

• To offer findings, suggestions & conclusions of the study

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Company Profile

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• Atlas Copco is a Swedish industrial company that was founded in 1873. It
manufactures industrial tooling and equipment.

• The Atlas Copco Group is a global industrial group of companies

headquartered in Stockholm, Sweden. Revenues for 2007 totaled BSEK 63.
The Group employs more than 33,000 people. The company manufactures
products on 68 production sites in 20 countries.

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• Established since 50 years in India, Atlas Copco India is a leader in its three
core business areas- Air and Gas Compressors, Construction and Mining
Equipment, Industrial Tools and Assembly systems, to related Aftermarket
and Rental. 

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 Business divisions

• Compressor

• Construction and mining equipment

• Industrial tools

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 Footprints in India

• 1955 Atlas Copco started as a partnership with Vulcan Trading Co. in

Bombay

• 1960 Atlas Copco (India) Ltd was founded

• 1987 Bhagwati Foundries Ltd, Revathi CP Equipment Co. (both later

divested) was acquired by the company

• 1987 Chicago Pneumatic Tool company was acquired

• 2000 Chicago Pneumatic India was merged into Atlas Copco (India) Ltd.

• 2003 The Group’s ownership in Atlas Copco (India) increased from 51 %

to 84 %.
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•2004 Acquired operations from Ingersoll-Rand, which is Atlas Copco Drilling Solutions

division.

•2005 Beacon Medaes was acquired and integrated into Atlas Copco Compressors

division

•2007 Mafi Trench was acquired and integrated into Atlas Copco Compressors division

•2007 Local centers of competence at Pune for compressors and for construction and

mining technology at Nasik created

•2007 Acquired Dynapac road construction equipment business

•2009 Acquired Focus Rocbit Pvt. Ltd. and Prisma Roctools Pvt. Ltd. companies in

Hyderabad

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 Products
Product Name Year Month Sales Sales value % of STO
    Quantity (Rs.Million)  
 

Spares, Accessories and Components 2009 12 0 4950.7 38.52

           

Air, Gas and Screw Compressors, 2009 12 6304 4439.66 34.54

Dryer and Filters          
 

Rock Drilling Equipment 2009 12 426 1249.56 9.72

           

Pneumatic Tools 2009 12 43741 670.4 5.22

           

Road Construction Equipment 2009 12 236 282.18 2.2

           

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 Global presence of Atlas copco
• With a global presence in over 150 countries, providing an unrivalled
service to maintain and continually improve your compressed air system
performance.

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WMS

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• A warehouse management system, or WMS, is a key part of the

supply chain and primarily aims to control the movement and storage

of materials within a warehouse and process the associated

transactions, including shipping, receiving, put away and picking. The

systems also direct and optimize stock put away based on real-time

information about the status of bin utilization.

• Warehouse management systems can be stand alone systems, or

modules of an ERP system or supply chain execution suite.

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Flow of WMS 14
 Uses of WMS

• WMS will reduce inventory!

• WMS will reduce labour costs!

• WMS will increase storage capacity!

• WMS will increase customer service!

• WMS will increase inventory accuracy!

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 Inventory Management

• Inventory is a list for goods and materials, or those goods and

materials themselves, held available in stock by a business.

• The monitoring of material moved into and out of stockroom

locations and the reconciling of the inventory balances. Also
may include ABC analysis, lot tracking, cycle counting support
etc. Inventory management is primarily about specifying the
size and placement of stocked goods

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 Inward of goods

• Checking in deliveries and putting goods into storage is the first phase

of the internal supply chain within a large warehouse. Most warehouses

are now using data terminals and scanners for reading codes but there

is still a lot of manual checking to do, as well as physically counting

items on pallets. As with all warehouse operations, this requires careful

counting and code checking, and attention to detail.

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 Packaging of goods
• Pick,pack and labelling are a part of a complete supply chain

management process that is commonly used in, but not limited to, the

retail distribution of goods. It entails processing small to large

quantities of product, often truck or train loads and disassembling

them, picking the relevant product for each destination and re-

packaging with shipping label affixed and invoice included. Usual service

includes obtaining a fair rate of shipping from common as well as

expediting truck carriers.

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 Despatch of goods

• After packaging of goods another important step of warehouse

management system is despatch of goods. “DELIVERING RIGHT GOODS IN

RIGHT TIME AT RIGHT PLACE BY PICKING THE RIGHT MODE OF

SHIPMENT” is the main aspect. in Despatch Mode goods are collected

(picked) from shelves, bins, etc., based on pending customer orders, and

then packed and dispatched to those customers.

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WMS Software

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• The Warehouse Management System (WMS) in
today’s modern warehouse management is the nerve
centre of the operation. Its primary need is to best
utilize a warehouse’s resources, including space,
labor, equipment, tasks, and material flows.

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• Warehouse management systems can be stand alone systems, or
modules of an ERP system or supply chain execution suite.
Material direction and tracking in a warehouse can be coordinated
by a Warehouse Management System (WMS), a database driven
computer program. Logistics personnel use the WMS to improve
warehouse efficiency by directing putaways and to maintain
accurate inventory by recording warehouse transactions.

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 Pros Of WMS

• If goods are dispatching late remark should be entered

• Automatic discrepency will be created

• Self program for cycle count/scheduling

• Able to import / export data in variety of formats, with any ERP

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Reverse Logistics

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• Companies spend more time and money in fine-tuning their
forward supply chains while ignoring their backward supply
chains. However in today’s competitive business environment
when there is both external and internal pressure, companies
can no longer reverse supply chains.

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• Efficient reverse supply chains bring many benefits to the
companies. however reverse supply chains are different from
forward supply chains and most of the existing forward supply
chains are not designed to handle reverse supply chains.

Flow Of Reverse Logistics

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Findings

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• The study of the company reveals the following findings

• The Total flow and Process of Warehouse Management System

• The Total flow and Process of Inward, Packaging and Dispatching

of goods

• The Total flow and Process of Customer return of goods

• Pros & cons of WMS software and found how to reduce the
steps in software

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Suggestions

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• The performance of the company is up to the mark in each aspect to

improve further. The following suggestions are:

• WMS software Draw backs has to be rectified

• Using barcode labels in all and barcode scanners in packaging can reduce

time receiving, packing and dispatch of goods

• Increase the Size of the Receiving Area will save more time because Most

inventory errors start in receiving.

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• Double Checking the Orders Before They Go Out the Door will help in
dispatch errors

• Increasing the efficiency of reverse logistics or backward supply chain will

be very useful because competition in today’s competitive business
environment is very high.

• Considering the re-use of customer return products will get more profits

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Conclusion

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• The supply chain of any organization depends on warehousing
operations like inward, packing and shipping of goods etc. A
careful analysis of these areas is very much essential for the
success and survival of these organizations. For this purpose
Warehouse operations are to be merged with good
information technology. The Warehouse Management
Software is very much useful for organization to cope up with
the global Competition
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• Atlas Copco (India) Limited is having a good Warehouse
operations. Their implementation of Warehouse Management
Software is very helpful in all the operations of Warehouse.
Finally the total Atlas Copco’s Warehouse operations are good
and effective.

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Thank You

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